Bitcoin News Today: Buyer Conviction Rises as Bitcoin Hints at $119K Breakout

Bitcoin’s spot market activity has shown signs of a potential early recovery, with onchain data and exchange flows indicating growing buyer interest. According to onchain analytics firm Glassnode, Bitcoin’s Cost Basis Distribution (CBD) reveals a sharp divergence from Ethereum, with Bitcoin’s spot trading activity exhibiting greater density and concentration across recent price levels. This pattern historically correlates with stronger support structures compared to futures-driven momentum. Additionally, the onchain metrics suggest that Bitcoin is currently accumulating buyers with higher conviction, which could support further price appreciation if the $113,650 level is convincingly breached [3].

Exchange-level data also points to a possible liquidity regime shift. CryptoQuant reported that Coinbase experienced a net inflow spike between August 25 and August 31, coinciding with a 30-day simple moving average (SMA) reaching its lowest level since early 2023. Such reversals from multi-year troughs are often seen as early indicators of structural liquidity changes. Binance also recorded a notable spike in its 30-day SMA netflow on July 25 and August 25, reaching levels not seen since July 2024—historically associated with reaccumulation phases ahead of new price highs. These movements suggest a redistribution of reserves that could support a bullish reversal in the near term [3].

Further reinforcing the potential for a market shift, Bitcoin’s long-term holder (LTH) activity has increased in recent weeks, with the 14-day simple moving average trending higher. However, current levels remain well below the peaks seen in October–November 2024, indicating measured accumulation rather than aggressive distribution. This measured activity suggests that LTHs are not selling off en masse but may be preparing for profit-taking or strategic rebalancing. The continued absence of large-scale dumping signals a relatively stable market environment [3].

Price action on the four-hour chart also reflects a potential turning point. After dipping to $107,300 on Monday—close to its short-term realized price—Bitcoin rebounded sharply, breaking above the $109,900 level on Tuesday during the New York trading session. Lower time frames, including 15-minute and one-hour charts, have also signaled a bullish break of structure. The relative strength index (RSI) on the four-hour chart has reclaimed levels above 50, suggesting a growing bullish bias. However, for the trend to be confirmed, Bitcoin must break through key resistance levels, particularly the $113,650 threshold, which would invalidate the descending trendline that has capped the price for the past two weeks [3].

If Bitcoin successfully clears $113,650, it could open the door to further upward movement, with liquidity targets potentially extending to $116,300, $117,500, and possibly even $119,500. However, the market remains cautious ahead of the traditionally bearish month of September. A failed breakout or sustained weakness below $113,650 would leave Bitcoin vulnerable to further downside, with potential support levels expected around $105,000 and $100,000. Traders and analysts will be watching closely for confirmation of a structural shift in sentiment, both in terms of onchain metrics and broader market participation [3].

Source:

[1] Bitcoin ETFs Post Net Inflows Again, But Ethereum Still ... (https://www.mitrade.com/insights/news/live-news/article-3-1087044-20250902)

[2] Stablecoins, ETF, liquidity: The key signals from ... (https://www.cointribune.com/en/stablecoins-etf-liquidity-the-key-signals-from-the-binance-research-report/)

[3] Uptick in Bitcoin spot trading hints at possible breakout to ... (https://cointelegraph.com/news/uptick-in-bitcoin-spot-trading-hints-at-possible-breakout-to-dollar119k)